John
06-23-2010, 07:25 AM
Prime Minister David Cameron has discussed the Government's decision to press ahead with a tough austerity Budget in a phone call with US President Barack Obama.
The two leaders were said by sources to be "on the same page" over the strategy despite US fears that cutting too fast could damage the global economic recovery.
They will meet this weekend at a gathering of G20 nations in Canada which is set to be dominated by talks over the best way to deal with the downturn.
Mr Obama wrote to world leaders last week expressing concerns that withdrawing fiscal stimulus too quickly could damage fragile recovery and spark a fresh recession.
But British sources said Mr Cameron and the President were "on the same page" over economic strategy and that there was "a coming together" in the conversation.
"On the global economy, the leaders agreed that the G20 Summit this weekend would be a vital opportunity to cement the global economic recovery through a balance of fiscal consolidation and new strategies for growth," Downing Street said.
Chancellor George Osborne has insisted his package of accelerated spending cuts and tax rises is in line with G20 thinking - and is the only way to restore Britain's finances.
The two leaders were said by sources to be "on the same page" over the strategy despite US fears that cutting too fast could damage the global economic recovery.
They will meet this weekend at a gathering of G20 nations in Canada which is set to be dominated by talks over the best way to deal with the downturn.
Mr Obama wrote to world leaders last week expressing concerns that withdrawing fiscal stimulus too quickly could damage fragile recovery and spark a fresh recession.
But British sources said Mr Cameron and the President were "on the same page" over economic strategy and that there was "a coming together" in the conversation.
"On the global economy, the leaders agreed that the G20 Summit this weekend would be a vital opportunity to cement the global economic recovery through a balance of fiscal consolidation and new strategies for growth," Downing Street said.
Chancellor George Osborne has insisted his package of accelerated spending cuts and tax rises is in line with G20 thinking - and is the only way to restore Britain's finances.